1 big thing: 🤖 Dems’ big AI retreat
😬 The AI backpedaling has begun: 2028 Democratic contenders who bet big on data centers are suddenly retreating amid a growing voter revolt.
Why it matters: The politics of AI are evolving almost as rapidly as the technology.
- Just a few months ago, potential 2028 presidential candidates — including Illinois Gov. JB Pritzker, Pennsylvania Gov. Josh Shapiro and Maryland Gov. Wes Moore — were bending over backwards to lure data centers with offers of lavish tax breaks and other goodies.
- 💪 The projects seemed like no-brainers to many pols: They promised jobs, made building trade unions happy, took on China and pleased Silicon Valley execs.
- Now those Democrats are abruptly retreating — and vowing to protect voters from the consequences of the AI revolution.
⚡️ The reason: From MAGA country to liberal Prince George’s County in Maryland’s D.C. suburbs, Americans are increasingly blaming the power-sucking centers for high energy bills — and they’re freaked out about AI’s ability to eliminate jobs.
Zoom in: Before the dawn of ChatGPT, Pritzker signed legislation in 2019 doling out tax breaks for data centers.
- AI took off and Chicago became one of the nation’s biggest data-center hubs. But households’ electricity bills went up, and some faulted data centers.
- This past week, Pritzker hit the pause button in his State of the State speech, proposing a two-year moratorium on the tax incentives.
Shapiro has shifted from proclaiming last year that Pennsylvania was “all in on AI” and trumpeting a $20 billion investment by Amazon in his state.
- After residents complained about data centers in their backyards, Shapiro called for additional oversight during his budget address this month, saying: “I know Pennsylvanians have real concerns about these data centers … and so do I.”
Moore has been wooing data centers, signing a bill in 2024 that removed building roadblocks and vetoing legislation to study their impacts.
- He changed tone at his State of the State address this month, unveiling new guidelines that Maryland data centers must follow to win his support.
What they’re saying: “We’re in the early innings of the anxiety people are feeling about artificial intelligence,” said Rob Flaherty, a deputy campaign manager for Kamala Harris in 2024. “Data centers are just one manifestation of that, but they’re a serious one.”
- “It’s smart for Democrats to be on the front foot of this,” he added.
✍️ The intrigue: In an interview with Axios, Kentucky Gov. Andy Beshear described his approach, which is quickly becoming Democrats’ playbook for navigating the issue.
- Beshear, who’s also eyeing a White House run, said data center developers in his state should do three things: “Pay for 100% of your power,” “pay your fair share of taxes,” and “be embraced by the community.”
- Pritzker, Shapiro and Moore — who unlike Beshear face reelection this year — now are making similar demands.
Other Democrats weighing 2028 runs also are starting to lay out early visions to address AI anxiety.
- This weekend, former Transportation Secretary Pete Buttigieg called for “a new social contract” to respond to AI’s rise.
- And California Rep. Ro Khanna laid out seven principles for new tech while appearing at Stanford University with Vermont Sen. Bernie Sanders, calling for “real protections against mass displacement.”
Read more. — Holly Otterbein, Alex Thompson
Continue/Read Original Article Here: Axios 2028
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